Closer Talk – Ms Vaishali Banerjee, MD, India at Platinum Guild International Spoke to HZ about various issues after the grand success of PGI BSM at Kochi.
Since long, Ms Vaishali, you have been leading PGI India successfully! Now, the question of curiosity is to know your secret of successful leadership?
To me, both teamwork and collaboration are essential components in achieving results. When we collaborate effectively and encourage teamwork amongst multiple stakeholders like our manufacturer teams, retailer teams, designers and most importantly the PGI team, we can tap into a wealth of diverse perspectives and experiences that can propel the business forward in new and innovative ways. It brings people out of silos to work together, information is shared organically, and everyone takes responsibility for the whole.
Through collaboration and teamwork, we can create an inclusive environment that energises teams, releases creativity, and cultivates a work culture that is both productive and joyful.
Across the global platinum jewellery centers, including China, the jewellery fabrication growth is a little low while India has grown up to a 20% growth in retail sales in 1Q 2024; it’s great! What drives such a huge demand in India?
Our strategic retail partners have reported a growth of 15 – 20% in Q1 this calendar year.
Here are some of the key reasons driving the category growth consistently year on year.
The influence of India’s millennials and Gen Z on the jewellery sector underscores their preference for emotionally significant purchases. Categories like Platinum Evara, Men of Platinum, and Platinum Love Bands cater directly to these sentiments, capturing the essence of modern-day aspirations and relationships. The men’s jewellery segment, epitomized by Men of Platinum, continues to be a key growth area, leveraging cricket’s popularity and expanding its presence across India.
Given a younger demographic, a few relevant motivations that we tap into are
1) The need to acquire what is considered to be contemporary & unique.
2) The need to acquire symbols that create social distinction, those that represent their self-image
3) Their inherent desire to want what reflects their value system
At a metal level hence today platinum is anchored in being a precious metal that is truly rare. That rarity is our biggest functional differentiator. Current consumption patterns have only added a boost for platinum. Unlike before there are many more milestones being marked, self-expression is celebrated, authenticity & life journeys are considered important – and hence the opportunities for platinum have only grown.
Another key aspect relies on turning the typical retail store layout into an opportunity, enabling retailers to voluntarily increase customers’ exposure to platinum and focus on the benefits of platinum. For instance, making platinum more visible in the gold section with innovations like creating platinum jewellery designs with rose gold accents is a critical conversion engine on ground. It represents an upsell opportunity. The reach of platinum-in-gold section products now spans to almost 1,200 points of sale, supported by a rigorous training program that has reached almost 80,000 sales associates, with over 20,000 in the last year alone
In addition, the expansion of retail chains with all our key partners across India, particularly in tier 2 and tier 3 cities, is making platinum jewellery more accessible to a broader audience.
Expectations for BSM 2024 and new plans for PGI growth in the next years for national and International markets
We recently concluded the 7th edition of the Platinum Buyer-Seller Meet. Over the years, the Platinum BSM has evolved into a marquee property and flagship event for the platinum jewellery industry in India that facilitates collaboration, offers networking opportunities, and drives growth. This year, the BSM brought together 15 platinum jewellery manufacturers and 53 of our key retail partners under the PGI programme. Highlighting significant innovations and other possible initiatives aimed at category growth. The event showcased a diverse array of platinum jewellery ideal for the upcoming season. Key highlights were:
Showcase of Cutting-Edge Designs: Manufacturers showcased technical excellence through collections spanning various styles and designs across segments, enabling retailers to stock up on latest designs that reflected both the best in craftsmanship as well as leading global trends. Design innovation took centre stage with the introduction of new collections and statement pieces aimed at energizing the market and boosting consumer sentiment. Jewelry manufacturers showcased significant innovation, especially in women’s chain jewelry and multi-wearable everyday pieces like rings and neckwear, as well as men’s wristwear and rings. There was extensive experimentation with colour through the use of enamel and ceramic, creating trendy designs aimed at younger consumers who seek statement jewellery for daily wear. Many manufacturers combined various technologies to produce designs with ideal wearable weight, giving them a contemporary silhouette and an edge over competition. Additionally, new textures and finishes were introduced for Kadas, Cuban chains and bracelets, women’s bangles as well as platinum and bi-metal solitaire and studded love bands.
Strengthening Industry Partnerships: Every year the BSM provides a platform for strengthening relationships between manufacturers, retailers, designers, merchandisers and this year too our focus was the same. The event is expected to foster collaboration, knowledge sharing, and strategic partnerships that drive the growth of the platinum market
Market Insights and Trends: At the forum through various interactions, industry experts shared insights into current market trends, consumer behaviour, and future projections. This information is always crucial for stakeholders to align their strategies with and capitalize on emerging opportunities.
Technological Advancements: This year Benny Oeyen, Executive Head of Market Development for Platinum Group Metals, Anglo American spoke of the collaboration Oxford University’s team, who with the help of cutting-edge science, Digital Chemistry and artificial intelligence (AI), have created Inoveo Platinum, a unique, patented alloy that has all the benefits of platinum coupled with the ease of white gold. The platinum alloy is 4 times harder, with 40% less porosity, resulting in a 4-fold increase in yield. It also retains its whiteness and brightness for extended periods. There are also future innovations in the pipeline with attempts to make Inoveo Platinum 3D printable opening up innovative design possibilities that were previously unimaginable
Sustainability Initiatives: Benny further talked about the significant focus on sustainable and ethical sourcing practices. Anglo American subscribes to the Initiative for Responsible Mining Assurance (IRMA), which is a stringent standard ensuring no harm comes to the environment or people. Additionally, there is a move towards 100% renewable energy by building solar plants and wind farms. There is also exploration in progress on the production of hydrogen on-site in certain mines to power hydrogen trucks as a cleaner alternative to diesel. Platinum mining is crucial for the green energy transition. Minor metals like iridium and ruthenium, which are by-products of platinum mining, are essential for technologies like electric cars and hydrogen production.
However, without demand for platinum, mining these metals wouldn’t be economically viable due to the high costs associated with extracting them in small quantities. Therefore, jewellery plays a role in sustaining this industry and supporting a decarbonized future.
New plans for PGI growth in the next years for national and International markets
Looking ahead, PGI aims to expand consumer demand and strengthen the foundation for platinum jewellery through collaboration, innovation, training, technological advancements and marketing excellence . Our brands Platinum Evara, Men of Platinum, and Platinum Love Bands resonate strongly with young consumers, though varied needs, occasions and life stages. Our efforts will be supported with comprehensive marketing campaigns and retailer exclusive collections aimed at energizing markets.
PGI will continue to focus on establishing a sustainable market for platinum jewellery in India, enhancing awareness and desire for this high-quality, aspirational metal. Strengthening retail partnerships remains a priority to improve the consumer purchase journey. As our retailers expand their presence and penetration, the platinum footprint will expand.
Creating and strengthening the market for platinum jewellery remains at the core of PGI’s mission. With this in mind PGI India has forayed into the GCC markets. We are currently across 85 stores in the region with the focus on UAE at the moment. Initial market reports are very positive. Both Men of Platinum and Platinum Love Bands are performing well across the region, while Platinum Evara has both an affordable everyday wear range and a high end luxury range available in select retail stores. Taking the learning from UAE, we are looking to tap into the robust jewellery market of the Middle East to create a differentiated and sustainable platinum jewellery demand opportunity in the very near future.
